Skip to main content

About this Show

Markets Now

News/Business. Business news. New.

NETWORK

DURATION
02:01:00

RATING
TV-MA

SCANNED IN
San Francisco, CA, USA

SOURCE
Comcast Cable

TUNER
Channel v761

VIDEO CODEC
mpeg2video

AUDIO CODEC
ac3

PIXEL WIDTH
1280

PIXEL HEIGHT
720

TOPIC FREQUENCY

U.s. 19, Us 16, America 10, Chicago 8, Doug Parker 7, Cheryl 6, New York 6, Paul 5, Spiriva 5, Volcker 4, Europe 4, Ho 4, Washington 4, Texas 4, Dennis 3, Nicole 3, S&p 3, Matt 3, Copd 3, United States 3,
Borrow a DVD
of this show
  FOX Business    Markets Now    News/Business.  
   Business news. New.  

    December 9, 2013
    11:00 - 1:01pm EST  

11:00am
why over safety% of economist believe the fed will scale back the bond buying in the first quarter of 2014. you can't just like some status on facebook. while the social network can be adding a sympathize button. that and more with dagen mcdowell. dagen: like if a dog dies, i disparage my dog and there is a like. connell: post like that often get a lot of likes. dagen: top of the hour, we do have gains, nicolew york stock h more. nicole: good morning, everybody. another day of gains. the dow, nasdaq and s&p all posting gains one quarter of 1%. watch the s&p 500 at the near
11:01am
all-time highs a quarter of a percent. dow jones industrials up 11. and this after what we saw last week where we sold off a little bit after nine weeks, so that was a big deal to break that trend. watch a mcdonald's coming out with the same store sales numbers and it turns out in europe, japan u.s. had weakness. some names of the same sort of realm when you look at mcdonald's, wendy's, burger king underperform some of those names but there is chipotle and yum brands. connell: here we go again, fun times in d.c. with a week left before the house leaves for the rest of the year the clock is ticking for congress to reach a deal over the budget. dagen: rich edson with the latest on this.
11:02am
rich: it is working that direction, try to find a way to set government spending levels for the next couple of years to avoid a government shutdown over the next couple of years. but now they're still figuring out the top line numbers. it would be a two-year agreement if this goes through. it would replace the sequester. automatic spending cuts. in other words the federal government depending on what number they arrived at will be able to spend more money than it otherwise would under this deal. it will offset the increases in with higher fees like faa fees, and government workers including the military would have to contribute more to their pensions. a sticking point where comes to long-term unemployment insurance. >> democrats will continue to push for this. i don't thin think that it is definitely a key metric. in the context of this deal finding the $25 which they would have defined offset the cost of that steel would be a bridge too
11:03am
far. commercial democrats to their still working out this deal. there's nothing final yet but there could be problems because democrats and republicans in the house and senate would have to approve this plan. republicans may have a problem with increasing spending over the next couple of years with structural long-term changes over the next 10 years to pay for that. even if it becomes a done deal, has make it through voting in the house and the senate. back to you. dagen: visits last week the house and senate are scheduled to be in d.c. at the same time. last chance to get a budget deal done, should we be optimistic? let me bring in one of my favorite people who knows more than anything in washington. great to see you. is obamacare the reason both
11:04am
sides came to be softening on this? >> i think i credit environment this deal to happen. think of where we were eight weeks ago. we were fighting over obamacare. now we're in a situation republicans do not want to have it on the budget. both of her pretty bad for them. let's look at the democrats. suffering politically from obamacare, they want to change the subject as much as possible. laws and the city are taking care of very important response abilities here until they've been pigmentation problems can get worked out. in one sense it helped. but also similar reason driving is as both parties are trying to kick this out for two more years to have an election and decide how these issues get resolved. accommodation suggests they will get a deal in the next couple of
11:05am
days. dagen: this is if you have described it to use your words some low hanging fruit. how does this deal come together and what are the chances it does? >> i think it is slightly better than 50% chance it is going to get done. remember, the two chairs negotiating the steel are not here to tell us what they want to get done, they feel confident they will get something done. the issue here is last-minute demands. the republicans think they need some level of entitlement changes to get the rank-and-file members, thre slayer pushing han this changes to hospital spending for medicaid. the democrats pushing for more spending on unemployment insurance possibly inclusion of the minimum wage. all of those make it harder for rank-and-file members to vote for it. so the plan will actually narrow in the next day or so before
11:06am
they come to a deal. that is why they could get $45 billion instead of $65 billion just because they'ry are having so much trouble to come to an agreement on the pay force. dagen: already passed the outline of a deal you are talking about? and what about on the senate? have not broke out the pom-poms at least not yet. >> i do not expect him before this plan he wants to keep the spending cuts in place, and i would say the republicans really are saying why should we give up spending cuts today for the promise of them later on? now you are in a situation have to find the votes. interestingly we have been through this so many times the last three years every time they try to put a bill on the floor he gets fo 40 republicans who wt vote for anything. if you're starting to see john boehner moved to center and say, do this this with 120
11:07am
republicans, 130 republicans and maybe 120 democrats. that is what he had to do in october, that could be the new model moving forward. you need 60 votes, there are 65 democrats. anything they agree to have the approval of harry reid's that means you will get at least 45, 50 of the democrats and if that is the case you only need 10 or 15 republicans and there is enough republicans who are worried about the readiness of the defense budget i think if you cut this deal you will see it get through the finish line. it will just be bought till between the deal and the completion of those votes. dagen: please come back soon. be well. dagen: thank you. connell: 52% think they will scale back the bond buying program in 2014. nine out of 10 believe the purchases will slow next year, these numbers are according to the latest survey.
11:08am
with more, chief equity strategist. it is always good to see you. is the big market question. before we talk about where people should be putting their money and everything else, what is your take on feds tapering and the timing of it? >> sooner rather than later. the economic releases we have been receiving to include employment report last friday certainly point in the direction the one remaining element they could complain about his inflation is below the target, so that could cause a pause behind the december meeting. but they may even finish during the course of 2014, that would be great news. connell: we did the phrase of how everybody is data dependent. you have adjusted your thinking? you said the economy so far had not been strong enough to make
11:09am
its time to taper, but now that has changed? >> the economy is certainly doing better. the lead indicators, manufacturing, some of the retail numbers have certainly improved since we last talked. employment numbers are eight bit better. still not great, but it is better. the lagging one is the inflation. i think things have improved enough that maybe the injured forward enough. i suspect a very legitimate debate to move at the december meeting. so it is coming in the next few months. connell: let me go back there one more time. you talk about the fact valuations in several areas were stretched now here we are 16,035 or thereabouts). now the economy is picking up, the market still above 16,000 the pullback with friday's big again.
11:10am
what about the valuations as you see them today? >> they were the triple digit nasdaq companies, some of which are still fairly expensive. the market overall i don't think you can power the table and say it is cheap anymore, but it is not expensive relative to my other choices. so dependent on the u.s. and global economy that does somewhat better on 14 then 13 valuations will be fine. connell: it is an important point, can't be a year generally speaking the higher interest rates and higher stock prices? >> i do believe that is the case and i will take you back to the late spring of this year we witnessed a big move up in interest rates in a short amount of time and the equity market got a little bit spooked. the increase is gradual, presumably caused by the economy nominal growth continuing to
11:11am
improve, stocks can go up in that environment. connell: some have put a line in the sand and said 3%, whatever it is, if we go get there, troue for stocks using more of the rate of increase in the actual value. >> absolutely. more about the right. if we wake up in a month and the ten-year treasuries are 350, we've got a problem. if we wake up a year from now, we are fine. connell: always good to see you, thank you coming on today. appreciate it. winter weather causing a travel nightmare for many people here over the weekend and this morning. no sign of it letting up. as it continues to slam the east coast. dagen: the doctor who is changing the patient experience
11:12am
because of them. connell: big tech fighting back. imutual to how uncle sam collecs data. that and an eye on the market. here is oil.
11:13am
11:14am
11:15am
connell: all right, to his the season to talk about retail. they ever come and fitch rejecting calls to get rid of its ceo makes it a stock to watch. how are they doing? nicole: last week we are taught what one of the shareholders clamoring to have a change at the top but today a different picture. down four and a quarter percent on the news the ceo which some people have been upset with him and the performance of abercrombie. instead getting to sign a new contract. up in february now gets a new contract. the new contract is more incentive-based. it is more closely tied to the performance of the company which should make shareholders happy, ultimately.
11:16am
down 4% year to date down 30% and really pales in comparison to some of the other retailers. the hope here is now that with a more simple fight contract the edges of the shareholders will be taken into account. back to you. dagen: thank you. the company behind candy crushes delaying its ipo plans due to fears the flagship game has become too successful. considering an ipo later this year with a potential $5 billion debut on the nasdaq, but it's super surged in the popularity of candy crush put them under pressure to force them to prove they have other hits. they're trying to prove they will not be another one-hit wonder. connell: for those of you shopping for the perfect gift, consider this, a forest from
11:17am
finland has great the most expensive christmas wreath adorned with over 40 diamonds and rubies. it is on sale at a website. he would likely be the very first to have something like this if you were to get it in your particular neighborhood. have you ever heard of a bigger waste your life? you could gamble it away, that is a huge waste of money. the house always wins. coming up, thousands of flights canceled as the winter weather slams east coast but what does it mean to investors and for you if you are getting ready to travel? connell: and look behind the scenes at what made this merger happen.
11:18am
big interview coming up on a big day. here's a look at the currencies around the world. how everybody else is faring against the dollar. every day we're working to be an even better company - and to keep our commitments. and we've made a big commitment to america. bp supports nearly 250,000 jobs here. through all of our energy operations, we invest more in the u.s. than any other place in the world. in fact, we've invested over $55 billion here in the last five years - making bp america's largest energy investor. our commitment has never been stronger.
11:19am
td# 1-800-345-25500 can take you in many directions. searching for trade ideas that spark youriosity
11:20am
tdd# 1-800-345-2550 you tdd# 1-800-345-2550 yolook for what's next. tdd# 1-800-345-2550 atchwab, we can help turn inspiration into action tdd# 1-800-345-2550 boost your trading iq with t help of d# 1-800-345-2550 our live online workshops tdd# 1-800-345-2550 like identifying market trends. tdd# 1-800-345-2550 now, earn 0 commission-free online trades. call 1-888-628-7118 or go to schwab.com/trading to learn how. tdd#-800-345-2550 sharpen your instincts with marketnsight from schwab tdd# 1-800-345-2550 experts like liz ann sonders and randy frederick. tdd# 1-800-345-2550 get support and ta through your ideas with our tdd#-800-345-2550 trading spialists. tdd# 1-8-345-2550 all with no trade minimum. and only $8.95 a trade. tdd# 1-800-345-2550 opopen an account anrn 300 commission-fe online trades. call 1-888-628-7118 to learn more. so you can take charge of your tradg.
11:21am
11:22am
speak out when one is past the hour, i'm lauren green with your fox news minute. if you are gathering in south africa today as leaders from around the globe member nelson mandela. over 9040 entries honoring the resident including barack obama expected to speak at the ceremony and former president george to be bush, bill clinton and jimmy carter. sanitary of defense chuck hagel meeting with prime minister earlier today. the two discussing the use of u.s. drones against militants in pakistan's remote areas, something that has been a contention between the two nations. the visit marks the first by pentagon chief and almost four years. and disgraced former san diego mayor bob filner will learn his fate today. the 71-year-old faces sentencing on multiple charges that he sexually harassed more than a dozen women during his time in office. he pleaded guilty back in october. those are your headlines.
11:23am
back to dagen and connell. connell: thanks. dagen: time to make with charles payne. there's our delving into the home improvement industry. dagen: by the way, a great, fun guy, but a huge obama supporter a little bit like oil and water there. but the company itself in my mind one of these names that has been tremendous for us this year. we got out but now i'm looking at it as a long idea. under pressure for a couple of things. the fbi raided them or something like that, one of these things i think doesn't matter. the exotic woods. and said he went short in the stock goes down like $5 a day. i'm not impressed by this, guys. just a company growing phenomenally.
11:24am
without these if you look at the last four quarters, they beat the street every time, by smaller amounts. the next five years going to grow faster than the last five years. they have been absolutely phenomenal. one of these names i like a lot on weakness. the shorts have gathered up on this name like to have with lots of the momentum names which have not done that's great. connell: you bring it to us because you did not think it would be welcomed on "varney & company"? charles: i would not mention it on "varney & company," no. dagen: you don't invest on the politics of a company. charles: it is a rarity. if i thought it spilled into how they operated the company, whole lot of people who are s-uppercase-letter but comes to themselves and socialists with the rest of our money. this guys looking at his watch, he did a cap list for himself. dagen: they can be whatever they want to individually impacting
11:25am
the management. connell: we have had talks of people getting caught up in politics. charles: hard core conservatives have missed the rally. they loaded up on gold. most heartbreaking thing in the world now they are waiting for the crash. connell: good stuff as always. bactrim or depressing topic in many ways, the weather. we finally got hit with it. we will be tracking the storm as it barrels east. dagen: facebook maybe change in of a interact with your friends. but what it should do to address users not so likable post so you are empathetic.
11:26am
11:27am
if you've got copd like me, hey breathing's hard. copd includes emphysema and chronic bronchitis. spiriva is a once-daily inhaled copd maintenance treatment that helps open my obstructed airways for a full 24 hours. spiva helps me breathe easier. spiriva handihaler tiotropium bromide inhalation powder does not replaceast-acting inhalers for sudden symptoms. tell your doctor if you have kidney problems, glaucoma, trouble urinating, or an enlarged prostate. ese may worsen with spiriva. discuss all medicines you take, even eye drops. stop taking spiriva and seek immediate medical help if your breathing suddenly worsens, your throat or tongue swells, you get hives, vision changes or eye pain, or problems passing urine. other side effects include dry mouth and constipation.
11:28am
nothing can reverse copd. spiriva helps me breathe better. does breathing with copd weigh you down? don't wait to ask your doctor about spiriva.
11:29am
dagen: ebay, ups and fedex all warning of delivery delays as severe winter weather hits the east coast. nicole petallides at the new york stock exchange taking a look at those stocks. >> reporter: oh, stormy weather, and we know that thousands of flights have been delayed and canceled and the like and how about all the shipping that goes with it, especially for this hot holiday season or we'll see if it's hot. obviously, everybody's waiting for packages and the like. let's take a look at both fedex and ups and also watching ebay closely now. all three of these stocks not too far off the up changed line fedex up about one-third of 1%, ups pulling back a little bit, but we did have fedex say on saturday that winter weather -- and this is their quote -- causing substantial
11:30am
flight and sort disruptions at multiple hubs. ebay warning that weather could delay shipments, and pay attention to arkansas, mississippi, tennessee, ohio and texas. and ups also saying that pickups and deliveries were not available in some of those areas. so, obviously, the winter weather may be getting in the way of some package deliveries, at least the speediest ones. dagen: thank you so much, nicole. that winter -- excuse me, winter weather, it's like me trying to say wayne rogers and always say wayne wogers -- [laughter] wreaking havoc on travel as thousands of flights canceled across the u.s., icy roads leading to big car pileups. let's bring in george hamlin. this time of year, particularly in the airlines, the load factors, is it difficult for people to rebook? >> it is very. i can attest to that myself. i'm supposed to be in chicago at the moment. but with loan factors in the
11:31am
80s, i had to have a three-stop trip rerouted. i'll have to give kudos to southwest who patiently redid it for me and, actually, were able to give me the discount as if i'd bought it back when i did. dagen: maybe this is a dumb question, you're flying from d.c. to chicago, and you had a three-stop trip? why in the heck wouldn't you -- >> no, no. chicago was the first stop on a three-stop trip. dagen: i got you. that goes to my next question. when you're planning travel this time of year, do you need to make your itinerary as simple as possible so you don't get stuck somewhere? >> absolutely. and you probably have to consider putting in some extra time. now, one of the we verse things about this trip is i had booked the early morning flight in order to make a specific time if chicago. had i taken the flight that i was a little concerned might be late that left at 11 a.m., i probably wouldn't be here now. dagen: exactly. how much, how many days when you're planning to travel this time of year, how much leeway do
11:32am
you need to leave yourself particularly if you're traveling for business? i don't want to diminish, like, missing out on family activities around the holidays, but business travel is particularly difficult because, again, you have to make meetings. >> this is nothing wrong with putting an extra day in the trip. more than that most people simply can't do x that's probably annoying, and most of the time it's not going to happen. you know, this time last year and the previous year we weren't worried about snow in the d.c. area. dagen: i wanted to bring up in relation to the merger that was announced, that was finalized today, us airways and american airlines, will their service get better? will their customer interactions improve, do you think, with the combination? because certainly, in my experience the attitude of the american airlines employees has improved a little bit just because they feel better about where they work. >> well, i think the american employees feel enfranchised by what's taking place, that their union supported this and were
11:33am
somewhat instrumental in making it happen. now, as far as -- in my experiences with american have been fine, i think there are obviously often teething problems in mergers, but there are going to be more opportunities for consumers in terms of connectivity and markets as a result of this, and i think we'll get there in the not distant future. dagen: no. i can't wait until they try and integrate the ticketing and frequent flyer programs. that's always so much fun when the airlines merge with each other. george, great to see you. thank you so much, as always. safe travels, george hamlin. >> thank you. connell: all right. now, everybody knows that facebook's like button commonly pressed is just about everywhere, but a developer recently pitched an idea of a sympathize button for those not-so-cheery statuses. dagen mentioned earlier like your dog dies or there's a car accident and something horrible and people hit the like button. the developer introduced the new icon at the recent event for facebook which apparently liked the idea but has no plans to go
11:34am
through with it, at least not now. this all according to the huffington post, and let's look at the facebook stock price, $48.40 today. dagen: and coming up, a doctor launching a company that offers survival kits or at least management kits to make patients more comfortable during their hospital stays. incredible story. connell: yeah, that's an innovation that helps people. american/us airways, that merger now complete, well, jeff flock is up next talking with some high-flying executives, so stay tuned for that. dagen: and the nation's leading technology companies calling on president obama to put new limits on surveillance. joling kent coming up with that. and take a look at treasuries, ten-year. what's the yield telling you today? the nothing. big, fat nothing. ♪ ♪ hi honey, did you get e toaster cozy?
11:35am
yep. got all the cozies. [ grandma ] with n fedex one rate, i could ll a box and ship it r one flat rate. so i kn untilt was full. you'd be crazy not to. is tt nana? [ male announcer ] fedex one rate. simple, flat rate shipping with the reliability of fedex. who found a magic seashell. it told him what was happening on the tradg floor in real time. ♪ the shell brought him great fame. ♪ but then, one day, he noticed that everybody could have a magic seashell. [ indistinct talking ] [ male announcer ] right there in their trading platform. ♪ [ indistinct talking continues ] [ male announcer ] so the magic shell went back to being a...shell. get live squawks right in your trading platform with think or swim from td ameritrade. and this park is the inside of your body. see the special psyllium fiber in metamucil actually gels.
11:36am
and that gelling helps to lower some cholesterol. metamucil. 3 amazing benefits in 1 super fiber. ♪ ♪ >> i'm lori rothman with your fox business brief. general motors will close a call center in argentina and move more than 300 jobs back to the u.s. gm says having a new customer engagement center in michigan will help the automaker have more control over how it interacts with customers. bitcoin, meantime, fast becoming the preferred form of payment for cyber criminals' ransom demands. the financial times report
11:37am
hackers encrypt computer data so it cannot be opened and hold the data hostage. the virtual currency is much harder to trace than credit card payments. the fda has approve gilead's new tr hepatitis c. it's a daily pill that's the first approved pill treatment to the liver-destroying disease. hepatitis c affects about 3.2 million americans. and that's the latest from the fox business network, giving you the power to prosper.
11:38am
connell: all right, dagen said a few minutes ago this really is a great story about a company that makes specialized kits to make patients more comfortable before, during and after their stay in the hospital. dagen: the kits range from kansas city to deal with breast cancer -- kits to deal with breast cancer treatment, prostate cancer, even labor and delivery. dr. elizabeth thompson is cofounder of best friends for life company, she is a radiation oncologist as well. doctor, it's great to see you. >> thank you. dagen: usually it's the doctor
11:39am
like the ph.d., but this is the real deal. [laughter] why did you -- what was the genesis for the idea? >> >> so as a radiation oncologist, i saw patients every day struggling with recovery from breast cancer, and i myself underwent prof lactic mastectomies because of my elevated risk, the same kind of surgery that angelina jolie had. it was major concern, but this was 2006. so i was one of the first to go through it. and after my surgery i was the go-to person, a lot of people found out that i had had the surgery, and they knew that i had a medical background, so i put together what these women needed, and it was a tip sheet that eventually became a kit i put together, and then it became a business. connell: in that particular case, what's in the kit? one of the things i think is interesting is that this didn't exist before. >> yeah. women after they have reconstructive surgery or breast surgery frequently they go home, and they have no idea how to take care of their wounds and their drapes, and this is
11:40am
particularly concerning -- drains, and this is particularly concerning for anyone who's had breast surgery. and it becomes the kind of thing where if you don't take care of it properly, you end up with complications. there's samples of the type of wound care you need, there's a pillow that's a bracing pillow for under your arm, there's all sorts of toiletlies and little things you might not be able to reach if you had to get out of bed quickly. and it's almost like what your best friend would tell you but you'd never know unless you got it. dagen: not your best friend, but on a side note, it raises the issue, and you're taking a look at one of the kids there, isn't this what your doctor should be telling you? >> so you hit the nail on the head. as a physician, there's a great divide between the amount of time that we can prepare our patients for recovery and actually just being a physician and curing them of their cancer or whatever disease they have or making sure they go home prepared. and so as a physician be, it's to our advantage to make sure that patients have everything they need. we just don't have enough time
11:41am
to do it, so this is almost as if the doctor's put it all together for you, and it's not frivolous items. these are really important things. dagen: right. connell: yeah, exactly. i think that's what i meant by saying i was surprised some of this didn't exist already. as you say, you've turned it into a business, expanded to other areas. >> sure. connell: who are your customers? is it just hospitals? >> we sell a lot directly to hospital themselves, but consumers. i would say friends, oldest daughters, the patients themselves, they go to our web site, they look and see what type of products we have very faris different type -- various different types of surgeries and conditions, and we can customize. the bags come overnight, and for a patient it means they don't have to worry about putting it together. dagen: how much do they cost? >> they range from our pillow which goes under the arm is $20 all the way up to we have transplant kits for patients having bone marrow transplant, and these get fairly extensive and really specific with particularly expensive kinds of
11:42am
products inside, and they range up to $150 in that range. connell: so some of the money, some percentage goes to charity. >> we do. we find foundations and charities that actually are really relevant to the disease at hand. connell: what about expansion? because that's the thing, you said -- you mentioned a number of the surgeries or dagen did that are already, that you're already servicing. are you pretty much at a saturation point there, or is there more to come? >> we have so many great products, and we are looking forward to more product development. we just came out with a surgical bra which really solves a problem that has never been addressed for women when they have drains, and that's the type of thing where we listen to what women need, and i've been through it myself. i know what exists and the white space in the market, and we try to fill the that in. dagen: how do you keep -- are you still practicing? >> i am, yeah. dagen: at what point would you give up your medical prangs to manage the company? >> there was a period of time where i went to work for the surgeons who operated on me --
11:43am
dagen: here in new york? >> here in new york. i learned more and more about what women needed after surgery, and you have to remember surgeries evolve over time, so we have new materials -- dagen: right. every plan -- [inaudible] >> yeah, it's progressed. so by working in hospital, i get new ideas, and it really keeps me in touch with the patients, so as a radiation oncologist as well, we see changes and the need for new products. so for me, it's vital to try and stay in the hospital and keep on working. connell: i said one other thing, obviously, you don't need us to tell you it's a great idea. >> thank you. connell: is it a profitable company? >> we're doing pretty well. we've met our expectations for our second year, so we started in october 2011, october 2012 and now october 2013, so we're two years into it. connell: and you have a future profitability goal. >> we do. so i set it at three years. my husband's in business, and he said you have got to get there in three years, so that's what we're trying to do. dagen: great to see you. >> thank you so much for the opportunity. dagen: absolutely.
11:44am
>> take care. dagen: valuable, valuable things that she's doing not just in medicine. oil trading near its highest point in almost six weeks on a rebound in china imports and a falling u.s. unemployment rate. connell: sandra smith is here with the trade joining us from the cme in chicago. >> reporter: hey, guys. right now prices up about ten cents on the session, but we're at $97.74 a barrel, so we start to talk about potentially triple-digit oil prices here when we do see that the latest cfdc reports are showing hedge funds and large money managers are increasingly bullish in oil and in general in the energy market. that chinese trade data we also saw imports, oil imports up 19% in the latest month, and we've got that employment report that's bullish oil to. trey, you don't really think it's all of that driving oil prices, however. from a trader's perspective, you say something else is at work here.
11:45am
>> you went from 112 to 92, a bounce is reasonable. the other thing for right now i think is a little bit friendly, and don't get me wrong, i think we're going to run into problems at 100. i'm okay with it higher, but i'm not super bullish above 100. look at the term structure, the premiums and futures. the spot month had a huge discount to the back month that tells you end users are saying, hey, i want to pay to store it. of that's changed. the spot month is premium. you have to respect that for right now. >> reporter: isn't this a lot of fed speculation as well? if we get the good news like the jobs report on friday, then there's more speculation in the market that the fed's going to taper, dollar's going to strengthen and commodity prices are going to go lower? >> i'm not one of these people that puts a direct correlation of crude to the economy, crude to that sort of thing because if you look at the chart, it isn't necessarily so. look at the way equities have traded and crude, like i said, had a $20 break in it, so i'm not going to try to aafter the unemployment report to what's going to happen in crude.
11:46am
commodities are under general pressure as a whole. >> reporter: and there's something we were talking about at the break is in general we're seeing a big investment, houses, layoff commodities, brokers closed their commodity trading floors, there's a lot of bearishness heading into the new year. where do you see oil and gold wrapping up? >> it's asset allocation. the assets are going to equities because the equity market continues to work up. that's why commodities have suffered. there's some commodities that haven't gone down. >> >> reporter: name one. >> live cattle. >> reporter: oh, whoa, from a texas man himself. guys, as i hand it back to you, commodities pretty quiet, but some kind to saying could be the calm before the storm as we enter into the final couple trading weeks of the year. connell: now, let's get to this merger that united -- american airlines and us airways, it closes today, so that officially creates the largest airline in the world. dagen: this morning, in fact. it still might take many months to truly transform the two carriers into a single airline.
11:47am
we're talking about into next year. jeff flock is covering the story from to hair airport in -- from to hear airport in -- o'hare airport in chicago. >> reporter: this is donna here, vice president of u.s. air and franco, our old friend at american, runs the american hub here. i tell you, first, i want to show you your new boss. he rang the bell on the nasdaq this morning. how does it feel? >> it feels terrific. we're all excited. >> reporter: now, bob nanos bob -- bob parker. is he up to this -- >> doug parker. >> reporter: excuse me. is he up to this task? >> he most certainly is. >> reporter: you have a massive airline now, 6700 takeoffs and landings a day, 300-plus cities and 50-plus countries. huge number of employees and aircraft. how do you make that all come together? >> you know, we make it come together with over 100,000 employees.
11:48am
they have been committed to this merger, and they're ready to deliver at the highest level. that is what's going to make the difference. we're going to be successful because we care about the outcome for our customers and employees. >> reporter: one of the first things we're going to see because in the short term we're going to still book u.s. air, american, you've got the frequent flyer programs coming together. how's that coming? >> quite well. we'll probably make some announcements starting in january as to what some of those changes will be, and i know our customers will be excited. >> reporter: huge place to compete be, chicago. you've got a huge presence here. your friends over at united, they've got a huge presence here. who's coming out on top? >> look, in terms of numbers, we come out on top, but this is about getting it right for the customer. we let the customer decide, and we're interested in retaining loyalty. we have no right to that loyalty, we're going to we were it because we're the best at what we do, and we're going to be competitive here in chicago. we're excited about our schedule, the opportunities this merger will create going forward. >> reporter: donna, you've already been through one merger, and i've been around a lot of mergers.
11:49am
i was there the day the aol/time warner merger was finalized, and i only lost about a million dollars on that one. what did you learn and what do you bring to this? >> i've actually been through -- this'll be my first. >> reporter: what were the others. >> >> piedmont be, american west and now with american. each one is unique, and what we have learned is make sure that we spend a lot of time communicating not only with our employees, but also with our customers and take your time and do it right. >> reporter: stock likes it. the street likes it so far. stock is good and maybe these guys have a few shares. we won't ask about that. but maybe that's the thing to buy, airline stocks, as a whole doing pretty well today. sometimes that's not the case when you get a new company. connell: not always. good stuff out of jeff flock at o'hare, and we want to point out cheryl cheryl casone has an interview with doug parker at the next hour, stay tuned for that. dagen: big technology is standing up to uncle sam. why the likes of google and
11:50am
twitter are calling for a tighter grip on the government surveillance tactics. connell: that's an interesting story given all that's coming up in the last few months. before we get that story from jo ling kent, we have some big tech companies for you to look at. they're up. ♪ ♪
11:51am
11:52am
11:53am
dagen: they're normally fierce competitors, but apple, google and facebook are uniting in a letter to the federal government. connell: it's at the top of every news site this morning, these eight large tech companies calling for limits on government surveillance, jo ling kent joins us with the latest. >> reporter: this list does not include amazon.com, the world's most well known tech companies have publicly banded
11:54am
together to push president obama and members of congress saying they strongly believe current laws and practices about surveillance need to be changed. aol, apple, facebook, google, microsoft, twitter and yahoo! created the reform government surveillance coriggs and said in a joint letter last night, we understand that governments have a duty to protect their citizens, but this summer's revelations highlighted the you were gent need to reform practices worldwide. the letter goes on to read: the balance in countries has tipped too far in favor of the state and away from the rights of the spring, rights that are enshrined in our constitution. this undermines the freedoms we all cherish. now ceos including dick costello, mariska meyer -- marissa mayer push forward five clear goals calling for government to limit surveillance to specific users, not to collect data in bulk and give companies the right to print what government is asking for
11:55am
and how often. this comes at the same time american and british spies are using popular video games to conduct surveillance and gather data about millions of users around the world. intelligence operatives are disguising themselves as avatars like elves, gnomes, supermodels all revealed by "the new york times," propublica and the guardian thanks to leaked documents from edward snowden. dagen? dagen: much. good to see you. diet soda sales fizzling out. cold wells fargo -- according to wells fargo, no-calorie and low-calorie soda sales are quickly turning into the soft drink industry's biggest problem. sales are falling faster than the overall market, down almost 7% over the last year. for the third straight year, contracting at a faster rate that be regular soda. this is a big reversal from the early part of the last decade
11:56am
when diet soda consumption rose, it was at one point almost a third of the overall soda market and soda stocks are feeling pressure today. connell: that makes sense, i think. i drink less soda now. i used to only drink diet soda, but now i just drink less soda -- dagen: do you drink vitamin water and stuff like that? noncarbonated beverages? >> not much. water, coffee. dagen: and the journal also points to fear of sweeteners, fear, you know, health risks about sweeteners. connell: hmm. dagen: even though the soda industry goes bananas -- connell: when you talk about that. now the world's largest airline is the big story today that jeff flock was talking about. cheryl sony and dennis kneale will have ceo doug parker with his battle with the unions, the justice department and, of course, for you consumers, talk about if rates are going to rise. dagen: and should unemployment benefits for millions of americans be extended at the end of this month?
11:57am
dennis and cheryl want to hear from you. ♪ ♪ every day we're working to be an even better company - and to keep our commitnts. and we've made a big commitment to america. bp supports nearly 250,000 jobs here. through all of our energy operations, we invest more in the u.s. than any other place in the world. in fact, we've invested over $55 billion here in the last five years - making bp america's largest energy investor. our commitment has never been stronr.
11:58am
11:59am
tdd#: 1-888-852-213434 tjust waiting to be found. es tdd#: 1-888-852-2134 at schwab, we're here to help tdd#: 1-888-852-2134 bring what inspires you tdd#: 1-888-852-2134 out there... in here. tdd#: 1-888-852-2134 out there, tdd#: 1-888-2-2134 there are stocks on the move. tdd#: 1-888-852-2134 in here, streetsmart edge has tdd#: 1-888-852-2134 chart pattern recognition tdd#: 1-888-852-2134 whicshows you which ones are bullish or bearish. tdd#: 1-888-852-2134 now, earn 300 commission-free online trades. tdd#: 1-888-852-2134 call 1-888-852-2134 tdd#: 1-888-852-2134 or go to schwab.cotrading to learn how. tdd#: 1-888-852-2134 our trading specialists can tdd#: 1-88852-2134 help you set up your platform. tdd#: 1-888-852-2134 because when your tools look the way you want tdd#: 1-888-852-2134 and work the way you think, you can trade at your best. tdd#: 1-888-852-2134 get it all with no trade minimum. tdd#: 1-888-2-2134 anonly $8.95 a trade. tdd#: 1-888-852-2134 open an account and earn 300 commission-free online trades. tdd#: 1-888-852-2134 call 1-888-852-2134 to learn more. tdd#: 1-888-852-2134 so you can take charge
12:00pm
tdd#: 1-888-852-2134 of your trading. >> there are working families acros america that are struggling, there are unemployed families who need a helping hand. we've got to protect and preserve the safety net in america and give these working families a fighting chance. >> when you allow people to be on unemployment insurance for 99 weeks, you're causing them to become part of this perpetual unemployed group in our economy, and it really while it seems good, it actually does a disservice to the people you're trying to help. dennis: the fight in congress over a budget deal that involves the extension of unemployment benefits. i'm dennis kneale here with cheryl casone to take you through the next hour of "markets now." now benefits for millions set to expire at the end of this month, and we want to hear from you, should unemployment benefits be extended? tweet us your thoughts. and the world's largest airline
12:01pm
born todaywith merger of american airlines and us airways, we're going to speak with the new ceo, doug parker. thousands of flights have to be canceled across the country on terrible weather conditions. we've got the latest on the storm barreling down the east coast. all that and more in the next hour of "markets now." ♪ ♪ dennis: so, cheryl, it's interesting that both democrats and some republicans like the idea of extending emergency 99-week employment benefits, never mind that the emergency is supposed to have ended something like four years ago. cheryl: and this on a day where you've got a really nice market open, we're above 16,000. let's get to stocks now, nicole is on the floor of the new york stock exchange. and we're looking great, second day gains after friday's big surge. can we keep the momentum? >> reporter: right? friday had a big surge, indeed. they tried to get back to that unchanged line, but last week was a losing week after eight straight weeks, we did pull back last week. today up 21 points, 16,041,
12:02pm
we'll see whether or not the momentum can continue. you do have a weaker dollar, commodities to the upside. people seem to be bullish, they certainly don't seem to be shorting this market. the dow higher, the s&p up a quarter of a percent and the tech-heavy nasdaq up about one-quarter of 1% as well. we continue to follow budget talks, rich edson saying they've yet to arrive to the spending levels for this year and next, so they continue to work op that according to a congressional aide that he's working with, so we're watching that very closely. we have fed later this month, so that'll be interesting. a lot of names here. by the way, we're keeping an eye on the vixx, today back up again, and cater till bar, ge and merck are leading the way on the dow. there's plenty of names hitting highs. back to you. cheryl: we'll see you in 14 minutes. time now for our monday panel, first up, critics launching first attacks on the sol kerr rule as five regulatory agencies
12:03pm
gear up for a vote on the controversial financial regulation that aims to rein in risk taking on wall street. will the volcker rule actually do more harm than good? let's take it to our panel, charles payne, liz macdonald along with matt welsh, cohost of the fox business show that that debut t tonight at 9 p.m. eastern time. everybody is here. all right, matt, first to you. good to have bad, what do you say? >> bad. look, if you want to get rid of the problems that led to the great crash of 2008, get rid of the government guarantees that allowed people to make those risky bets knowing they would get bailed out either by fannie or freddie or by the government in terms of not allowing companies to fail. if you want companies to fail, let them fail -- dennis: cheryl, i think the most disturbing thing was your opening line saying that five different agencies today have to all agree on how to interpret and set this rule. anytime five bureaucracies in the federal government is have to do anything together, we're
12:04pm
in trouble. cheryl: charles? >> it's one of those things where wall street works my bull disclosure. if goldman sachs has a position and they're telling me to buy it, they should tell me they own it. other than that, i think this is extraordinarily overreach, and it's sort of -- it's all part of the whole thing that wall street creates these problems, and to matt's point, without any real accountability from the true culprits which was government that let these guys run wild and also have their back when they fall apart. cheryl: lizzie, what's the rush? shouldn't we get this right? like making a self-imposed deadline? >> they've been trying to get it right since 2010, and here's the thing, you know, the bank's going to do an end run around it. the thinking is is the hiding in plain sight off balance sheet -- [inaudible] [laughter] why would they pick up the trades that would violate this new volcker rule? that's the end game. what the banks are doing, they're going to do an end run
12:05pm
around it. they already shut down their proprietary trading desks. the other pe, private equity kind of activities, they're going to shove off balance sleet -- >> you know what? a wall street buddy of mine once said all of wall street exists basically to help clients find legal ways to get around regulations, so the volcker rule, i'm sure, will enhance employment -- >> i'll tell you something, i know why the regulators reacted, and i've been in touch with them and also the banks. listen, that london whale trade being lost was really bad. dennis: did just fine and then we went and fined them -- >> i get it. dennis: if losing six billion is wrong, why fine them -- >> final word. it was out of their investment, basically, the deposit oversight arm of jpmorgan. that's why it was so touchy. that's why the regulators went crazy and said, you know what? this is really bad to put so much of the assets at risk with so little oversight. dennis: it didn't endanger the financial system at all.
12:06pm
>> volcker rule is aimed at proprietary trading, and tsa not what brought down the entire financial system. cheryl: we've got a lot more to get to, guys. the budget battle heating up with rand paul saying extending jobless benefits will do more harm than good. charles, is that true? the president had his radio address on saturday, he came out and said -- he blamed the gop, this is all their fault, and it's going the harm the economy. >> you know, there's a lot of studies and research that says that's true. if i don't have to get off the sofa and look for a job, i'm probably not going to. one of the areas that's been most depressing are the chronically unemployed, 26 months or longer. that needle has barely moved. there's something for people to be said going into the job market,
12:07pm
12:08pm
. >> they don't want to get a job or it's truly because of the downturn in the economy, and the fact that even republicans are saying, you know what, extend it if you can fund it, if you can fund the jobless benefits -- >> that goes to matt's point. doing something as a politician doesn't necessarily mean it's right. i mean, the republicans are really afraid right now to be seen as insensitive, but ultimately, does this help the people? in other words, are you sincerely helping someone? it's like putting someone on food stamps -- >> i'll tell you something, the states are cracking down on unemployment fraud, meaning the people who don't deserve it. and we're probably all in agreement about that. keep the benefits for those who are truly destitute -- dennis: actually, no. i'm against -- i don't think that you should get two years of unemployment benefits in this country. you know what? most states run out after 26 or
12:09pm
36 weeks, that ought to be enough. >> but is that the hill you die on politically? >> right. >> name top 20 things that will improve the economy, removing unemployment benefits has got to be around number 20. dennis: when studies show it makes unemployment worse? be i think that's -- >> you can't sell it to the public though, that's the problem. cheryl: both sides are saying, look, if it makes financial sense, then something will happen. nobody wants to see the economy crash and people on the street. let's move on to our third topic, you saw it on your nfl broadcast yesterday, a wintry mess has been covering most of the country, and it comes at the worst time for retailers like amazon and logistics companies like fedex and, of course, the brick and mortar guys. so we're asking you if this kept you, the viewer, home. charles, i know you follow the retail sector as well, you're always bringing up compans, were you worried about the storm? >> i was not. but i will tell you i was out at a mall, and i saw the same
12:10pm
thing, a lot of traffic, very few bags. i think what we have created is a pretty convenient excuse for retailers that come up short. they'll definitely say -- cheryl: lizzie, i mean, we're talking about oklahoma. these are several states that were paralyzed. i'll tell you, my family in texas did not leave their home. >> yeah, it's a good point, cheryl. [inaudible conversations] there are. >> wait, hang on, plus we've got six days fewer of shopping between thanksgiving and christmas. here's the deal, we saw this problem with the weather in 2008, 2011, 2012, in the early spring, you know, of last year. so, listen, here's the problem, does the internet sales tax matter more to retail shopping than weather? i think that the retailers have built it in that they know it's going to be -- dennis: every holiday season everyone worries about weather and retail sales, the thought that you have six fewer days that you're going to buy your kid fewer gifts, not going to happen. cheryl: matt, i will say the numbers have been weak this year, and i thought especially this year with the economy
12:11pm
turning around we would -- >> but is the economy turning around? we have the lowest labor force participation rate in this country than any year since 1978. you can have some numbers up, stocks up, a few things, but if people aren't working and making money, they're not going to be spending. that's a fundamental, and it's still bad. >> here's a forecast for retail sales. you're going to see more discounts coming in be, right? it's been tend. >> as it should be. cheryl: any picks, charles? >> on the retail side, golly, i normally do. >> abercrombie. >> i'm assuming you're already in it. not the mean guy. very hard to grinch, abercrombie & fitch, don't go with them. cheryl: charles, elizabeth, matt, good luck tonight. we're going to all be watching. >> best of luck to you, matt. cheryl: premieres tonight, fox business, 9 p.m. eastern. he is going to be joining kennedy and kmele foster. thanks, guys. dennis: and there is such a thing as too much success.
12:12pm
why it'll take you longer to get a piece of the action in candy crush. cheryl: and more on the wild winter weather that the walloping the country. more ws coming up after a quick commercial break. [laughter] ♪ ♪ ♪
12:13pm
[ male announcer ] if we could see energy... what would we see? ♪ the billions of gallons of fuel that get us to work. ♪ we'd see all the electricity flowing through the devices that connect us and teach us. ♪ we'd see thatlmost 100% of medical plastics
12:14pm
are made from oil and natural gas. ♪ anan industry that supports almost 10 million americanobs. life takes energy. and no one applies more technology to produce american energy and refine it more efficiently than exxonmobil. because using energy responsibly has never been more important. energy lives here. ♪
12:15pm
cheryl: still above 16,000 for the day,e is your dow 30. cowant to show you a sector -- do want to show you a sector we were just talking about, if you look at the names in the red right now, home depot, lowe's, target, all kind of home-related stocks are actually in the red today, but the rest of the numbers actually looking pretty green here. let's bring inny tole petallides from the floor of the new york stock exchange, and it's a merger monday once again, huh? >> reporter: we often say it, and it holds true today. we're watching sysco, i'm talking about the food company making a big purchase, and this is a $3.5 billion deal for sysco, up nearly 13% on this news.
12:16pm
we're also watching covidien and gibbons imaging, and they have a pill the size of a vitamin that you ingest and that it takes pictures of your insides, right? from gastrointestinal problems, and that's why they're paying the big bucks for it. back to you. cheryl: all right, nicole. thank you so much, appreciate it. dennis: king, the people behind the mobile game candy crush, delaying its ipo plans on fears that its flagship game may have been too successful. the british company had been considering ipo later this year with a potential $5 billion valuation i guess on the nasdaq, but a super surge in the popularity has put king under pressure to show that it has some other hits in the pipeline, and is it going to be another one-hit wonder? no word on a new time frame for when the company will go public. cheryl: the largest airline in
12:17pm
the world taking off today. the $18 billion marriage of american and u.s. air. coming up, i'm going to go one-on-one with mesh airlines group -- american airlines group ceo doug parker about what is next. dennis: and what a day to launch an airline, thousands of flights canceled on brutal weather across the country. details coming up. meanwhile, here's how the world's currencies are faring against the u.s. dollar. ♪ ♪ [ bagpipesnd drums playing over ] [ music transitions to rock ] make it happen with the all-new fidelity active trader pro. it's one more innovative reason
12:18pm
serious investors are choosing fidelity. get 200 free trades when you open an account. yep. got all the cozies. [ grandma ] with n fedex one rate, i could ll a box and ship it r one flat rate. so i kn untilt was full. you'd be crazy not to. is tt nana? [ male announcer ] fedex one rate. simple, flat rate shipping with the reliability of fedex. [ chicken caws ] [ male announcer ] when your favorite food starts a fight, fight back fast with tums. eartburn relief that neutralizes acid on contact a goes to work in seconds. ♪ tum, tum tum tum tums!
12:19pm
12:20pm
12:21pm
>> at 3 31 minutes past the hour, m lauren green with your fox news minute. the pentagon is considering a request for military support in central african republic. this is, this as 1600 french soldiers aid those in the c.a.r. in disarming militias there. so far fighting has claimed 400 lives in the tattered nation. a historic gathering in south africa today as leaders from around the globe remember nelson mandela. over 90 foreign dignitaries are expected, including president obama who is expected to speak at ther is honeny and former presidents george w. bush, bill clinton and jimmy carter. and house homeland security
12:22pm
committee chairman mike mccall warning that the threat from al-qaeda is, quote, spreading like wildfire. >> they are growing, and they're a greater threat today, i would -- in my judgment, than they were pre-9/11, and we need to be prepared for that as a nation. >> he points to uprisings in places like egypt and syria as breeding grounds for islamic militants. and those are your headlines. ♪ ♪ dennis: when we do our logo, you know it's an important story. snowy, icy conditions disrupting thousands of flights, and the storm still brewing. fox news meteorologist janice dean is live at the fox weather center. janice? >> reporter: hi, dennis. look at some of these snow totals, a foot in delaware, almost a foot in new jersey and pennsylvania, it came down 1-2 inches an hour yesterday. and we have another storm that's going to disrupt travel, unfortunately, as you're hanging out at the airports. we're going to watch this area
12:23pm
of low pressure kind of ride up this frontal boundary that's been draped across the southeast. it's not going to be a huge, huge weathermaker, but it's going to be disruptive. so we do have some rain across the southeast -- a chilly rain, because much of the country is below average in terms of temperatures -- and then you've got our system that caused the problems over the weekend, mainly rain along the coast but a new system developing overnight tonight. delays at the airports? yes, significant. for laguardia, newark, jfk, philadelphia up towards boston, pack your patience, as they say. you're going to need it. as we take a look over the next 12-24 hours, a new system kind of creeps up, and we're going to see the potential for 1-3 inches of snow in, in the higher elevations maybe 6 inches, 8 inches, and it's going to come within the next 24 hours. i guess the good news is it gets us into the holiday spirit, dennis and cheryl? silver lining?
12:24pm
maybe? cheryl: she's going for the positive, that's janice. dennis: thank you very much. cheryl: american airlines group, the world's largest airline, taking flight. we've got the man piloting the new company in the future. doug parker, american airlines group ceo, coming up next. dennis: and smartphones and tablets pushing advertisers to end their game. details coming up in your media minute. first, a look at some of today's s&p winners and losers. ♪ ♪ every day we're working to be an even better company
12:25pm
and to keep our commitments. and we've made a big commitment to america. supports nearly 250,000 jobs here. through all of our energy operations, wenvest more in the u.s. than any other place in the world. in fact, we've invested over $55 billion here in the last five years - making bp america's largest energy investor. our commitment has never been stronger.
12:26pm
12:27pm
♪ like, really big... then expanded? ♪ or their new product tanked? ♪ or not? what if they embrace new technology instead? ♪ imagine a company's future with the future of trading. company profile. a research tool on thinkorswim. from td ameritrade. dennis: it is the biggest airline merger in u.s. history and now it is responsibly of the new ceo, battling unions in the
12:28pm
government to push this through. next up he takes on cheryl. and the income gap in america is widening. and sales of diet soda fizzling. details bubbling up in a bit. stocks every 15 minutes, let's go to nicole petallides. nicole: taking a look at the major market averages. last week gave back a little bit, the dow last week gave back about a half a percent, 66 points to the downside after eight straight weeks of gains. we had a big run on friday. up arrows a quarter of a percent watching some movers worth talking about. turned out weakness in the u.s. as well as japan. abercrombie ceo gets to stay on board. mike jeffries has been there since thanks 92 under scrutiny recently but re-signed and a
12:29pm
more performance-based contract. the new american airlines, this is the combined american airlines u.s. airways looking good, and bullish on this one. google a new high again. $1082 change. a lot of names on the move. there's a lot going on on wall street. back to you. dennis: today's media minute, global ad spending 5.3% next year. $532 billion. a new forecast out today a growth of 3.6% this year. smartphones and tablets fueling the rise and it is the first time in 20 years a new medium isn't cannibalizing ad sales on older platforms.
12:30pm
it could more than triple the 45 billion by 2016, that would be bigger than radio outdoor and magazine. and the increase expected for global tv ad spending in the same time. mobile apps will grow 240% to $6.4 billion. one of three forecast out today, 4.6% and forecast 6.5.kzó fittingly enough as i i script much of the nation, disney's "frozen" taking the top spot. toppling the number one winner for the past two weekends, "the hunger games" catching fire. $27 million now up past $670 million worldwide. cheryl: i tell you what, looking at the mobile space and how these companies are monetizing on it. the next thing has to be mobile games. playing with other users and everything, but to me seems the
12:31pm
next place. dennis: you can embed the ads right in. cheryl: diet soda sales fizzing out. the sales are actually quickly turning into $75 billion soft drink industry biggest problem. sales are not only down 6.8% year-over-year but for the third straight year diet soda sales are contracting at a faster rate than regular soda. a big reversal from the early 2000s. feeling the pressure, a big issue for all of these guys. take a look at what is happening. these are big names that will certainly be under the pressure. if you look at what dies soda does to you, nutritionist will tell you it makes you hungrier you are up, they say it is very bad.
12:32pm
dennis: we are realizing we are still fat, but a whole bunch of new rival diet sodas coming out that are not carbonated. they did not exist 20 years ago. cheryl: that is where they're starting to make their money, on the nutritional drinks. we are going to take a quick break. when we come back we will be joined by the ceo with what is now as of today the world's largest airlines. the ceo joining us after a quick commercial break. don't go away. [ male announcer ] here's a question for you:
12:33pm
where does the united states get most of its ergy? is it africa? he middle east? canada? or the u.s.? the answer is... the u.s.
12:34pm
♪ most of america's energy comes from right here at home. take the energy quiz. energy lives here. dennis: time for your fox business brief. hilton worldwide movie ipo date of a day to this wednesday. dow jones report the operator will price its shares $2.7 billion offering after the close on wednesday. they will begin trading on the new york stock exchange under the symbol hlt on thursday. airbus parents will cut 5800 jobs in europe as part of a three-year restructuring of defense and space operation. saying the cuts spread across france, germany, spain, the uk and gm will close a call center in argentina with her more than
12:35pm
300 jobs back to the u.s. they said will help the automaker have more control over how to interact with customers and that his latest from fox business giving you the power to prosper.
12:36pm
cheryl: it is the biggest airline merger in u.s. history. american airlines group officially listing on the nasdaq. result of almost $18 billion all stock deal between u.s. airways and american airlines. the real challenge begins to integrate to carriers while keeping customers happy. in dallas, texas, that is his job. first, congratulations. i know you are busy today. the merger is closing on a day with massive cancellations and delays. now you are number one, how do you think the industry can change the negative perception
12:37pm
that the public has? people who don't like to travel anymore, how do you deal with that perception? >> it is a difficult business, always has been. this weather is one of the big reasons it is. our job is to make sure we go in circumstances like this to take care of our customers. we have a great group of employees doing that right now, getting people eventually where they need to be. nothing is new about a situation like this other than that. the merger will allow us to put two airlines together and provide more service to more customers than either of us can independently. cheryl: the doj gave you a heck of a fight. i know you are surprised by the language. were you surprised at how hard the doj came down on the idea of this merger, and are you still worried you will face backlash if fares go up, which they
12:38pm
normally do. how will you handle that? >> we were surprised by the lawsuit, but the reality is we were surprised because we thought they were wrong. as we get further into it and discovery of facts and so much public outcry, i think they came to the conclusion we were closer to write than they were. we are happy to have this behind us now, and i think they will see it as we move forward. cheryl: one of the things they are concerned about is competition and one of the reasons you got the merger approved and sadat had to face them in court is because he gave up slots. southwest airlines picked up a lot of those. are you concerned about the other airlines and the competition in the key markets now? >> this is all about where we cannot compete against anyone. we welcome the competition. we are not concerned about it,
12:39pm
our desire here is to be the best airline in the world. cheryl: next to one of the most fascinating things in dallas where you stand today and the new headquarters is it will expire. that is where flights were restricted and they could not go over to states. they are in celebratory mode. are you concerned about the dallas market which is now home to you and american? >> with that, allowing them more places. we need to be in a position we compete against them. this merger allows them to do just that, allows us to be an even stronger competitor, one we think can compete any airline in the world. cheryl: if you look at the
12:40pm
landscape of the united states, you are all over that map as you are number one, are there markets where there is opportunity, the public is underserved? >> internationally mostly there may be some more growth opportunities. u.s. market is certainly not saturated but largely immature. growth still in in the market t as the economy grows not at a rate much greater than that, but a good bit of growth for our airline and the industry internationally. cheryl: you know, doug, one of the things he did so successfully. you are one of the first to ever do this, you got union cooperation almost from the get-go. from the flight attendants as well. do you think unions are becoming less relevant as the economy has shifted, and the type of things that we do in the united states,
12:41pm
do you think the unions are less important now than they were before? >> i don't know that is the case. the reason we got union support, we put the airlines together and everyone knows because they have lived it what happens to their airline if they don't have the ability to compete as well as others can. but putting them together and creating a mark competitive business, or employees understand that and they were supportive and therefore the unions became supportive. it wasn't the other way around. cheryl: coming on a daily continue to follow what is happening with obamacare. you yourself have got health insurance for employees and their website you have got to get working. are you worried about the integration? something united worked on. people cannot communicate with each other, the systems did not work.
12:42pm
do you think you can get your website to work by early next year? >> integrating two airlines is hard work. we know that. we have the best team in the business to go do it, we have plans laid out, make sure we execute against that plan and we are ready to do this. there may be some disruption along the way. we certainly hope not, but if there is we will manage to get to what the real goal is, build the best airline in the world. cheryl: you took the reins 10 days before september 11, the industry has changed so much since then. this is your second merger, no u.s. airways is acquiring american. what is keeping you up at night today that did not give you 10 years ago? >> i sleep reasonably well. we have a great team here. this is a tough business but one hour people know how to do.
12:43pm
we just need to give them the tools they need to do their job, the support they need and they will do their jobs well and we now have a platform for success. none of it makes them lose any sleep. i know we can do it, now just up to all of us to do it. cheryl: survey once it warms up i am sure you are going to be ready to go to work. doug parker, congratulations, we hope to see you soon to get an update on the integration process. >> thank you very much. i look forward to that as well. dennis: just as barack obama has declared to close down the wealth cap. disparity is actually widening and people ages 35-44 are being hit the hardest according to bank rate.com. chris, innome gap grew 10% in the past 20 years but 21% for 35-44-year-olds so why is it so much worse for them?
12:44pm
>> repent them i spent the past couple of months looking at income numbers on the u.s. census. trying to look at this cap obama was talking about. we wanted to ask is there a specific segment in the population responsible for widening this cap or is this a current running through the economy? 18-24 years old 265 and up. these folks see an increase of the income gap if you compare with 20 years ago with today. there are a number of reasons why. you can put it into three different categories. first is demographic. this is a different country that was years ago. if you look at the number of immigrants with enter the country. a million or so every single year. they tend to make a little bit less than the native population. secondly, increase the amount of women who are the main breadwinner's for their households. one thing worth noting here is women still make less on average
12:45pm
than men. dennis: it brings numbers down making the gap look worse than it otherwise would be. dennis: custody question, why is it worth the widening gap among 35-44-year-olds. >> is one thing about this population. these are the folks who are just about to enter their prime earning years. i am in this group. 40s-50s earning the biggest paychecks you possibly ever will. dennis: this is when the richer guys start to take off and accelerates the gap. >> we look at what happened during the recession a lot of folks had to lose their job, took lower paying jobs. look at the medium wage in this country stagnant for the past couple of years. you cannot talk about income inequality without talk about the minimum wage.
12:46pm
i will mention i do have a brother in law who just left high school, he just graduated looking for jobs all over, it took months to find a job. a lot of the places you would typically look, they're filled by people in their 30s and 40s now. those of the people. dennis: it bums everybody back down. it makes the wealth gap a little bit less. the first is in the lowest 20% of earners in america only have half a person working for household and in the richest they have two people. >> would look at household income, looking at how the entire household was combined. dennis: wouldn't this cap get wider and wider as you get older and older and the people saving and investing and have money left over in the stock market, an accelerator effect since wages themselves have been
12:47pm
stagnant at almost all income levels except for investment income. >> you do see the income gap been the whitest, has not grown very much. dennis: what is is in the most important determining factor of what you do? savings and investments, isn't it? >> education is a major factor, whether you have good health insurance, able to control your own destiny. education is one of the biggest factors and we can't emphasize that in most. we focus on what you can do. individuals have a tremendous amount of power and determining their individual destinies and they are very practical, living within your means.
12:48pm
dennis: let me point out a lot of emphasis lamenting the gap, nobody talking about don't get as many tattoos, don't buy as much gold jewelry. how about cutting back and saving. >> exactly, don't over leverage yourself. dennis: thank you. from bank rate.com. cheryl: lets go to the floor of the new york stock exchange. senior vice president. just speaking within the last 20 minutes, anything you have heard from them that changes your opinion about the timing of the taper? >> no, it doesn't. he had to think mindset with them. more of a centrist. they are the three biggest hawks that fit inside the federal reserve system. unfortunately the matter what they say when it is working anymore or not, they don't have a vote this year.
12:49pm
this is what they have been doing the last year trying to drum up the market, the department probably has a stop about the market clear but regardless of what they say today we will not see any movement for this meeting, probably not until march. cheryl: it has been nice to ha have, but is there anything in the next two weeks frankly because that is the trading session, made and that could derail the rally heading toward the end of the year? >> december is generally a really good month for equities. of course there's always some that could come out of washington looming that could blow everything up but the house going on their christmas holiday here pretty soon i don't suspect anything is going to happen. it sounds like they have the widget battle under control. i don't see anything that will derail what we're doing inside the equity market right now. i would tell everybody to keep your eye on the equity yield for what the market is reacting to.
12:50pm
right now the 10-year yield is coming in so nobody really suspects they will make any change in policy at the meeting. cheryl: thank you very much, keith. >> my pleasure be a dennis: in the ukraine, disappointing data out of germany sending the wti d spread to the narrowest in two weeks. let's go to phil flynn. phil: it is just getting crushed today, partly because some production coming back online at a time it will not be as strong. that is bringing down. but when you're in europe, what you are worried about is turning on your heater. once again over the weekend, this situation with the ukraine, both exciting and exceptional uprising we have had since the 2005 orange resolution. overthrow the government, a lot of pressure of course on the government right now when they
12:51pm
turn down a deal to do a trade with the eu, russia had a lot to do with that. the last two times this turned into a cutoff of natural gas supplies so europe has to be on guard for a repeat. back to you. dennis: thank you, phil flynn. forget about liking somebody's status, do you sympathize with them? and new feature facebook may introduce. cheryl: and look at some of the winning names over on the nasdaq. some usual stuff, but tesla, charles payne watching your tv, we will be right back. my customers can shop around-- see who does good work and compare costs. it doesn't usually work that way with health care. but with unitedhealthcare, i get information on quality rated doctors, treatment options and estimates for how much i'll pay. that helps me, and my guys, make better decisions.
12:52pm
i don't like guesses with my business, and definitely not with our health. innovations that work for you. that's health in numbers. unitedhealthcare. so ally bank has a that wothat's correct.a rate. cause i'm really nervous about getting trapped. why's that? uh, mark? go get help! i have my reasons. look, you don't have to feel trapped with our raise your rate cd. if our rate on this cd goes up, yours can too. oh that sounds nice. don't feel trapped with the ally raise your rate cd. ally bank. your money needs an ally.
12:53pm
12:54pm
dennis: everybody knows about
12:55pm
facebook's like sports and deployed by users everywhere. and developers pitching the idea of a sympathize button for those not so cheery statuses like the ones about a deceased pet or a car accident. facebook apparently likes the idea, but so far has no plans to go through with it. take a look at shares of facebook trading up a little bit. cheryl: are you still shopping for a perfect holiday gift for your significant other or even yourself? consider this, floris consider the worlds most expensive christmas reach. adorned with over 40 diamonds and rubies, this will set you back just thousands of dollars. you would be the very first in our block to own something like this. hang it out on your door, that would make sense.
12:56pm
it lasts 12 days but the designer will remove the gems for free and set them into a custom piece of jewelry she can wear it forever. back to business, in washington houses of congress in session for the last time this year, but it will be business as usual for lawmakers. dennis: find out which actors get paid big bucks but don't give you much return on the investment. coming up next hour with adam shapiro and lori rothman. ya know, with new fedex one rate
12:57pm
you can fill that b and pay one flat rate. i didn't know the coal thing was real. it's very real... david rivera. rivera, david. [ male announcer ] fedex one rate. simple, flat rate shipping with the reliability of fedex. [ engine revs ] ♪ ♪
12:58pm
[ male announcer ] the mercedes-benz winter event s back, with the perfe vehicle that's just right for you, no matter which list you're on [ santa ] ho, ho, ho, ho! [ male announcer ] get the all-new 2014 cla250 starting at just $29,900. [ male announcer ] get the all-new 2014 cla250 [kevin] paul and i have been [paul] well...forever. [kevin] he's the one person who loves pizza more than i do. aul] we're obsessed. [kevin] we decided to make our obsession r livelihood. [kevin] business was really good. [kevin] then our sauce supplier told me: "you got to get quickbooks." [kevin]quickbooks manages money, tracks sales and expenses. [paul] we even use it to accept credit cards. [paul] somebody buys a pie with a credit card, boom, all the accounts update. [paul] when we started hiring,we turned on payroll. [kevin] it's like our pizza.you add the toppings you want, leave off the ones you don't. [kevin] now business is in really great shape. [announcer] start using intuit quickbooks for free at quickbooks-dot-com. try align. it's the number one ge recommended probiotic that helps maintain digestive balance. ♪ stay in the groove with align.
12:59pm
adam: welcome back to "markets now." lori: black inaction, but will anything gets done? both the house and senate are in session and but is a budget deal in the works? straight ahead. adam: the biggest name in the skies, american airlines. the merger is done but there is
1:00pm
another winner in this deal. nasdaq coming up, senior vice president on what getting americans listing means for the exchange. lori: big tax fighting back, some of the sector's biggest names callin: on washington to b government surveillance. their plan straightahead but first time for stocks now, let's head to the floor the new york stock exchange with nicole petallides. stocking sendin extending fridag jobs inspired jump. nicole: that is) jobs inspired jump, without enough to push us over the unchanged line for the week but we did have a nice gain on friday, 200 planes worth. today adding 19 points, that pales in comparison but still end up arrow nonetheless. at least has been kept to the upside up about one-tenth of 1% to a quarter of a percent. it is worth watching the